Topic: How a user can pay low fees? (Read 201 times)

With coin control you can pick one or two inputs, instead of having a random group of who knows how many. I think it's still better because you could avoid some dust and manage it's creation.

Assume you have these amounts of BTC in addresses

0.000001
0.0000001
0.00000001
0.1
0.01

You wish to transact 0.15.

The program picks the first four, eliminating some small amounts and leaving after fees maybe 0.0488.

Fees on the first three are in excess of value. With coin control you would select only the fourth number, 0.1 and have the smallest transaction.

Doing this will inevitably lead to fracturing large inputs until they are dust.
Can be avoided of you spend the exact inputs you have so there would be no dust left over, but that wouldn't be convenient for average users.
They'll still have to consolidate the dust inputs into a larger one.
https://medium.com/@lopp/the-challenges-of-optimizing-unspent-output-selection-a3e5d05d13ef

This thread is on methods of minimizing cost of transaction with bitcoin. Even if other coins are used for low dollar transactions you still move funds btc --> alt coin.

i think it is time to use Bitcoin as only a store of value, and use other coins with better tech to handle the moving of value. 

Yes, Bitcoin Core, Electrum, Armory. Many others. But many do not allow it, and do not allow "coin control." The lack of these essential features introduces inefficiency into jacks up your costs.

This is a very good suggestion.

Over time a large number of "change" transactions can add up in a wallet. If the amounts are lower than the corresponding fee, the value is effectively lost. And in the aggregate that's a great deal of money.

But if a person waited until the right moment and then consolidated, that would work. Sort of like waiting for the right tides to push your boat out.

Most exchanges and online wallets still haven't implemented segwit yet, and we're not in control of that.
There are already services that allows you to set your own fee. This becomes a problem when new users send transactions with very low fees(some even 1sat/byte). You can see a lot of these people in the Bitcoin Technical Support section of this forum.

One of the reasons why some people encounter very high fees is fragmentation of UTXO's, which happens when you receive coins very often, and as the result fees for moving the whole balance can be pretty high because of large transaction size. There are two things you can do to avoid it - first, try to send coins to your wallet less frequently - if you are mining or trading, don't withdraw small amounts every day. Second, transaction fees are pretty volatile - sometimes they can be very high for weeks, but in other times they can be less than a dollar. When transaction fees are cheap, use it to consolidate your UTXO's by moving all your coins to a single address.

No.

But if the amount you send must be "gathered" from six or eight addresses in your wallet, this creates a transaction with many inputs and one or two outputs. It's longer, and the miner fee is based on length of the transaction.

So then it would be a higher fee.

Novice question, does the amount of btc that I send out from my wallet affect the amount of transaction fees that I have to pay?

1. Refrain from withdrawing small amounts of BTCitcoin (less dust inputs).

2. Clean the intended address from any dusts left (send everything to another address with minimal fee [not suitable at the moment, due to ongoing network congestion]) then send everything back to the address it came from (or just use the new address, in case different wallets are being used) (you can use accelerators to help speed it up).
- Works best when recommended fee is around 200 satoshis/byte and when network isn't congested.
- Use this to see the unspent outputs:
- Do this once a month (if you're a regular BTCitcoin user).

In theory that might be the answer, but most services and exchanges has not implemented those features and the services that did, might not be accessible to everyone. These services must realize that the customer is the most important part of their business and if the customer is not demanding these features, then they will never get those features.

The customers MUST shift their business to the services and the exchanges that support their needs. Then the other services and exchanges will listen and they will be forced to implement it. ^smile^

This is a major subject. I am going to consolidate good suggestions back into this first post.

Ways to lower fees.
A) Use wallet that allows coin control and always pick your coins to create smallest size transactions.
B) Use segwit addressing.
C) Don't use wallets that don't allow you to set your fee.
D) If you have several people to send BTC to, generate one transaction with several outputs instead of several separate transactions.

I know these methods work. What secret tricks do you have that you can share?

SFR10
1. Refrain from withdrawing small amounts of BTCitcoin (less dust inputs).
2. Clean the intended address from any dusts left (send everything to another address with minimal fee [not suitable at the moment, due to ongoing network congestion]) then send everything back to the address it came from (or just use the new address, in case different wallets are being used) (you can use accelerators to help speed it up).
- Works best when recommended fee is around 200 satoshis/byte and when network isn't congested.

HAPSHETSUT93
One of the reasons why some people encounter very high fees is fragmentation of UTXO's, which happens when you receive coins very often, and as the result fees for moving the whole balance can be pretty high because of large transaction size. There are two things you can do to avoid it - first, try to send coins to your wallet less frequently - if you are mining or trading, don't withdraw small amounts every day. Second, transaction fees are pretty volatile - sometimes they can be very high for weeks, but in other times they can be less than a dollar. When transaction fees are cheap, use it to consolidate your UTXO's by moving all your coins to a single address.